The indictment is the first handed down pursuant to an investigation conducted by Special Counsel Robert Mueller into Russia’s meddling in the 2016 Presidential election. Also charged was Rick Gates, Manafort’s former business associate.

In order to gain a full understanding of the charges — particularly the tax violations alleged in numbers 2 and 3 — we must first recap the activities the government maintains Manafort engaged in from 2006 through 2014.

The Alleged Scheme

Beginning in 2006, Manafort worked as an unregistered agent in the Ukraine, acting as a political consultant, lobbyist and public relations professional for factions within the Ukraine government. Specifically, the claim alleges, Manafort worked to advance the political futures of members of the Ukraine’s pro-Russia Party of Regions.

First drafts are notoriously difficult. Beethoven’s Fifth initially included an ill-conceived three-minute guitar solo. In his original sketch of the Mona Lisa, da Vinci had her giving the double thumbs-up. And Frances Bellamy’s first run at the Pledge of Allegiance regrettably concluded with the phrase “party on.”

Eventually, all three of these seminal works got it right. And so President Trump shouldn’t feel so bad about missing the mark with his first draft of a tax reform plan. He’s got ample time to turn mess into masterpiece.

That process begins now. Late last week, the Senate passed its budget for the 2018 fiscal year, calling for $1.5 trillion in tax cuts over the next decade. An initial analysis of the plan President Trump released on September 27th, however, revealed that his first stab at tax reform would amount to $2.5 trillion in cuts. And while many might blindly believe that more cuts = better, this excess, as described below, poses no shortage of procedural and political hurdles if not corrected.

So how can the President fix his plan, making it economically feasible and politically palatable? Let’s take a look, beginning with gaining a better understanding of the shortcomings of the current proposal.

On September 27, President Trump and the “Big 6” Republican tax leaders laid out their plan for tax reform. Withum partner and nationally known Forbes columnist Tony Nitti conducted a complimentary one-hour long webinar separating fact from fiction helping listeners understand the proposal and what is slated to change.

If you did not have the opportunity to tune in, you can listen to the podcast by clicking the play button below:

The items in this blog are informational only and are not meant as tax advice. Consult with your tax advisor to determine how any item applies to your situation. A select group of Tax Professionals of WithumSmith+Brown write Double Taxation, and any opinions expressed or implied are not necessarily shared by anyone else at WithumSmith+Brown.

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